Government Shutdown Nears End: White House Adviser Optimistic This Week

The ongoing U.S. federal government shutdown, now in its third week, is "likely to end sometime this week," according to White House economic adviser Kevin Hassett. The shutdown has idled hundreds of thousands of federal workers and disrupted government services, with partisan disagreements in the Senate over funding priorities being the primary cause.

Key Takeaways

• White House economic adviser Kevin Hassett predicts the government shutdown will likely conclude this week.

• Hassett suggests Democrats may have delayed reopening the government until after the "No Kings" protests.

• The administration is considering "stronger measures" if a resolution isn't reached soon.

• The shutdown is largely due to a dispute over funding for healthcare, specifically Affordable Care Act tax credits.

Optimism for Resolution

Kevin Hassett, Director of the National Economic Council, expressed optimism in a CNBC interview that the "Schumer shutdown" would conclude within the current week. He indicated that "friends in the Senate" believed it was politically disadvantageous for Democrats to reopen the government before the nationwide "No Kings" rallies, which took place over the weekend. These protests were organized to denounce perceived authoritarian tendencies and corruption by President Donald Trump.

Potential for Stronger Measures

Should the shutdown persist, Hassett warned that the White House, in conjunction with Budget Director Russ Vought, would explore "stronger measures" to compel Democrats to negotiate. The exact nature of these measures remains unspecified, but they are intended to bring the opposing party to the table.

The shutdown, now 20 days old, has seen over 700,000 federal employees furloughed. The core of the dispute lies in a partisan fight in the Senate over federal funding priorities. Republicans favor a short-term resolution to maintain current funding levels, while Democrats insist on including additional spending for healthcare, particularly an extension of enhanced Affordable Care Act tax credits set to expire at year's end.

Senate Stalemate Continues

A GOP-backed bill aimed at ending the shutdown failed to pass the Senate for the 11th time on Monday evening, with the vote falling largely along party lines. While some moderate Democrats have shown willingness to negotiate, the broader Democratic stance, as articulated by Senate Minority Leader Chuck Schumer, has been to hold firm on the healthcare provisions. Some Democrats have also called for President Trump to engage directly in negotiations.

Sources

• US government shutdown likely to end this week, White House adviser Hassett says, Reuters.

• White House economic advisor Hassett says shutdown could end this week, CNBC.

• Shutdown Day 20: Senate Dems reject bill to end government shutdown for 11th time, upi.

• U.S. government shutdown likely to end this week, White House adviser Hassett says, The Hindu.

• U.S. Government Shutdown Could End This Week, Says Trump Economic Advisor, TipRanks.

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